720 989 1996
Maintenance Coordination Fees

Maintenance Coordination Fees

Property Management

Maintenance Coordination Fees
…and Why You Should Never Pay Them

When considering hiring a property manager to care for your largest investment(s), it is important to understand all of the elements that you will be paying for. It’s equally important, and will pay off with significant dividends to know what you shouldn’t pay for – and maintenance coordination fees should be a huge red flag for landlords.

Typically, full-service professional property management fees range from 5-10% , depending upon what’s included with their service. These fees are built into the rent collected, and are considered industry standard.

What you should be aware of, however, are the ‘surprise’ fees that often get slapped into the fine print, or left out altogether until they show up on your next invoice. The biggest offender of such fees are those listed as, “Maintenance Coordination”.

Maintenance coordination fees are how some property managers pad their income, all under the guise of hiring the contractors and vendors to perform routine updates, repairs and upgrades to your property.

If your property requires a landscaping company to mow the lawn or remove snow, etc., some managers charge you a ‘coordination’ fee to go out and hire the landscapers. Need a painter for the interior? That’s gonna cost you an additional $XX.00 for them to find and hire a painter. What’s that? Need the exterior of your home painted? That’s a different company, and therefore it’s a different maintenance coordination fee. There’s a fee for hiring the plumber, and another fee for hiring the roofer… you get the idea.

Lest you think that maintenance coordination fees are worth the peace of mind they offer since you don’t have to hunt down and interview the contractors, consider this: many property management companies make MORE on these maintenance coordination fees than they do for their management of your property. Oh… and YOU are the one paying!

Here at Legacy Properties-PM, we have NEVER charged a maintenance coordination fee. We NEVER WILL. There are never any surprises with us, which is why we are considered by many as Denver’s preferred property manager. Contact us today with any questions you might have.

Resources: https://www.rentecdirect.com/blog/property-management-fees-how-much-do-property-managers-charge/

Investment Property Make or Break Tips

Investment Property Make or Break Tips

Property Management, Real Estate Investing

“Invest in property”, they said. “Property only increases in value”, they said. “Mailbox money”, they called it. These, and many other golden nuggets of advice represent all the voices in your head as you consider taking the plunge and purchasing your first investment property.

There are many positives to purchasing property with the intent to turn it into a profitable venture. But there are also dangers that must be addressed.  This article will focus on three of the most common areas where money is made (saved) or lost.

Make your Investment Property Work for You

1. Let’s talk taxes

If you’re not careful, property taxes can sneak up and bite you. Every dollar that you have to pay cuts directly into your bottom line. And because taxes are assessed annually and rates change from year to year, they are easily overlooked in the big picture of profit and loss.

When considering an investment property, take into consideration the county in which you purchase. Each county in Colorado determines it’s own tax rate based upon how much revenue they need.  A complete chart of Colorado property tax rates is available here: https://smartasset.com/taxes/colorado-property-tax-calculator

2. The teeter-totter of insurance

Insurance is a must for your rental property - that is a given. What’s not quite as simple is the amount you will pay, and what kind of coverage you will get for that amount. Keep in mind - just like with taxes, every dollar you spend diminishes your bottom line. That said, it’s not always the wisest move to go with the least expensive product.

Especially in real estate, insurance is your safety net in the event of catastrophic occurrences. Right off the bat, you should investigate whether there are any major claims on the property in recent years.  You must also be aware of the possibility of natural disasters.  Is the property in a flood plane? Does the occurrence of hail cause regular damage? All of these factors contribute what amount you will pay for insurance premiums.

It’s of the utmost importance to read your insurance policies for the fine print and details. Know what your policies cover. Know what they will not cover. Know your limits, and choose your deductibles wisely.

3. The value of a professional manager

One of the biggest, and most costly mistakes landlords make is that they believe they can save money by managing their properties themselves. Unless you are a real estate professional, this can be a very expensive decision.

Your time is valuable. That is to say - it has an actual dollar amount attached to it. If you are the one who has to take the call in the middle of the night to repair a broken water pipe, this truth gets very real, very fast. Every time you have to shop for a new appliance, repair a broken fence or issue an eviction to a tenant, you are cutting into the net VALUE of owning investment property.

Professional property managers do all of this and much more, in most cases saving you money and offering you the peace of mind you really desire. Management companies know how to budget for the life cycles of your appliances, exterior maintenance and the myriad of other expenses that come along with investment properties. They find the right tenants, sign the proper documents, and remove any and all problems - all for their regular fee, which is typically accounted for within the negotiated amount of rent that they collect each month.

Oh… and they also keep their fingers on the pulse of the market, and so they can advise you on property taxes and insurance policies as well.

These are just three of the many considerations a landlord must factor into the decision to invest in property to lease. Our recommendation is to consider calling a professional management company as your first step to making sure all future decisions are profitable.  We stand ready to accept your phone call: 720-989-1996 or contact us here.

What do Property Managers Do?

What do Property Managers Do?

Property Management, Real Estate Investing

Many landlords and real estate investors want to know: What do property managers do?

When asking the question, “What do property managers do?” one must first consider the professional qualifications of the individual property managers. Like many things in life, one size does NOT fit all… and this absolutely applies to the role of property managers of your largest investment asset(s).

Landlords and investors must seek answers to the following questions:

1. Is the property manager a member in good standing of the National Association of Rental Property Managers (NARPM)?

Alignment with NARPM is a huge step in the right direction when considering which property managers to hire. NARPM members adhere to a strict code of conduct, and agree to standards of professionalism as well as a strong code of ethics.  They know the rent and vacancy factors of their area, and are much better equipped to get you top-dollar for your rental.  They are also able to handle difficult situations, enforce the terms of the rental agreement and have the ability to recover NSF checks, evict tenants and collect bad debts.

2. Is the property manager well known in the community, and personally familiar with reputable painters, electricians, roofers, carpenters, landscapers and handyman companies?

Look for property managers who have solid, positive relationships with the tradesmen/women who will be necessary to fix/repair anything that might need attention in your property. There should be no hesitation from property managers who are asked to provide contact information and referral resources of the maintenance professionals that they employ.

3. Do the property managers have a history of placing great tenants into the properties that they manage?

It’s one thing to fill a vacancy.  It’s another thing altogether to place the RIGHT tenant into your property.  Qualified, professional property managers are able to provide a solid history of great tenant placements where both the landlord and the tenant are a great match for one another.

What do property managers do?

The best property managers offer you peace of mind as they ethically care for your investment asset.  They help you build a legacy through real estate investment. They handle the hard work so that you can simply reap the rewards.  They bring the gap between landlord and tenant - and provide the glue for healthy relationships.

We’d love to be considered to manage your property. Please reach out to us here: 720-989-1996

Colorado Squatter Eviction: How to Get Squatters Out of Your Denver area Rental Property

Property Management, Uncategorized


Removing a squatter from your rental property can be difficult and expensive, especially when you don’t know the squatter’s identity. If you notice someone living in your property who doesn’t belong there, it’s important to take immediate action to have that person removed. Follow these steps, or contact a property manager in the Aurora / Denver area who can help you with the process. (more…)